FIS Secured New Core Banking Mandates
Financial institutions are increasingly adopting component-based software to modernize systems without replacing legacy cores.
Updated on Sept. 21, 2026 in Financial Services
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FIS has secured core banking contracts with a newly formed bank exceeding $100 billion in assets and signed five de novo banks during the first half of 2026. This shift reflects a broader trend among lenders to modernize systems through modular integration rather than full-scale replacements.
Why it matters
Lenders are prioritizing component-based strategies to manage integration costs and accelerate product delivery while maintaining existing environments. This approach allows large institutions to upgrade legacy systems in stages as competition increases among new market entrants.
FDIC insurance approvals reached 14 in the 12 months ending April 2026, doubling the total recorded in 2025. Additionally, the median bank merger closing time decreased to 131 days in 2025 from 185 days in 2024.
The players
FIS
A global provider of financial services technology and software solutions that supports core banking and payment processing for institutions.
Mercury
A financial technology company that provides banking services and accounts to approximately 300,000 startups and entrepreneurs.
Office of the Comptroller of the Currency
The federal agency responsible for chartering, regulating, and supervising all national banks in the United States.
Federal Deposit Insurance Corporation
The independent government agency that provides deposit insurance to depositors in US commercial banks and savings associations.
The details
FIS is deploying a component-based strategy that enables banks to integrate new tools directly into their operations without the disruption of a full core system overhaul. This model allows lenders to consolidate product delivery platforms, a necessary step for institutions looking to launch new services or modernize legacy infrastructure in competitive, fast-moving markets.
Timeline
Median bank merger closing times were 185 days in 2024.
Median bank merger closing times dropped to 131 days in 2025.
FDIC insurance approvals reached 14 for the 12-month period ending April 2026.
FIS signed five new bank charters during the first half of 2026.
Market Landscape
The move toward component-based system modernization follows a broader trend of accelerated bank merger closing timelines, which fell from 185 days in 2024 to 131 days in 2025. This environment incentivizes banks to prioritize modular upgrades over the multi-year risk of full core platform migrations.
Operators should monitor whether their current service providers offer modular, component-based API integrations as a hedge against the high costs of legacy system replacement. Review vendor contracts to determine if platforms support multi-system consolidation, which remains a key driver for operational efficiency in the current deal-making climate.
The takeaway
The pivot toward modular infrastructure is enabling banks to scale without the prohibitive costs of total system conversion. Owners should evaluate their tech stack for similar opportunities to deploy specialized features through existing systems rather than attempting full-scale enterprise replacement.
Further reading
For more on the changing technology requirements of modern institutions, read our latest analysis in Financial Services.
Source note: This article includes information reported by CFOtech US.
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